Required information [The following information applies to the questions displayed below.] Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (10,100 units at $300 each) Variable costs (10,100 units at $240 each) Contribution margin Fixed costs Income $ 3,030,000 2,424,000 606,000 468,000 $ 138,000 1. Assume Hudson has a target income of $167,000. What amount of sales (in dollars) is needed to produce this target income? 2. If Hudson achieves its target income, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.) > Answer is complete but not entirely correct. 1. Amount of sales $ 3,175,000 2. Margin of 0.4 % safety